“No matter how popular their products or how ‘borderless’ their services, technology’s brave new world will increasingly clash with the older realm of borders and governments,” Rosenberg writes. “As a result, both financial and physical costs will increase for tech companies and their customers.”

“As software giants like Google and Facebook have already found out, China’s ‘Great Firewall’ is hard to surmount,” Rosenberg writes. “And then there are Apple’s well-publicized conflicts with both the Chinese and US governments over iPhone encryption. ”

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6 Comments

Just how long is everyone expecting the “bandit regime” to hold out? Could be a long time as long as they successfully tie nationalism to the health of the Communist Party. With the cult of personality being built around Xi Jinping, with the recent crackdowns on human right lawyers, NGOs and the press, China appears to be retreating from its former path of progress. Tim better be working to get those manufacturing plants and associated infrastructure up and running in Brazil and India.

The FoxConn announcement might me a ‘shot over the bow’ to China that they could leave at any time to a country with similar population. It also tells India that they can get the jobs too if they play ball with the iPhone.

China, and the Xi Jinping government, really shot themselves in the foot with this one. Especially with Vietnam and other countries starting to take business away from China. Apple is a very high profile company and the world is taking note on this one.